The Tortoise and the Hare: Slow-Paying Clients and Factoring

October 05, 2016

The tortoise. Nature’s yellow light. He’s calm, quiet and cautious. And he’s not just slow — he’s slothful. His walk is a crawl, and he sprints in slow motion. To the tortoise, time is never of the essence.

Sometimes, clients are a lot like tortoises… especially clients on fixed-payment schedules. With net-30 and net-60 payment terms, they’re never in a hurry to pay you. They just stick to their slow-and-steady schedule. Clients like these can be challenging to work with, and they can obstruct your cash flow. An insufficient flow of funds could negatively impact your business. If you’re not careful, it can actually drive you out of business.

Slow-paying clients aren’t the bad guys. Often, they are reliable companies who are excellent to work with. However, it’s essential to plan for their slow payments to avoid cash shortages that could leave your business high and dry.

Meet the hare. Invoice factoring with TBS Capital Funding is a fast, easy, flexible cash flow solution. With factoring, you get instant cash for your slow-paying clients’ invoices. No more waiting 30, 60 or even 90 days. Instead, we buy your invoices, giving you immediate cash, and collecting from your client when the invoice is due.

With immediate working capital, you have the financial stability to run every aspect of your business. You can pay bills, make payroll, stock up on new inventory, upgrade equipment and even expand your marketing efforts. Heck, you could even get a pet tortoise for the office.

Same-day cash on a 90-day invoice? It’s no fable. Factoring is a way to get money as soon as you’ve earned it. So call TBS Capital Funding at 888-707-5188 to give factoring a try. Because you know what they say…